For investors looking to join solid fundamental growth with well-timed technical entry points, a multi-layered screening method can be very useful. One approach is to search for stocks that show forceful earnings momentum, good basic technical condition, and a price pattern indicating a possible breakout is near. This method tries to find companies not just increasing at a quick rate but also placed inside a positive price framework, possibly giving a good balance of risk and reward. A recent scan using these ideas, searching for a High Growth Momentum Rating over 4, a Technical Rating over 7, and a Setup Rating over 7, has identified TRIPLE FLAG PRECIOUS MET (NYSE:TFPM) as a candidate for more detailed review.
Fundamental Growth Momentum
The heart of the high-growth momentum method is finding companies with quickening business results, and Triple Flag Precious Metals displays several positive data items. The company's streaming and royalty model, which gives contact with gold and silver output without direct mining operational risks, is presently performing very well from an earnings viewpoint.
- Forceful Earnings Growth: The company's trailing twelve-month (TTM) EPS has increased by a notable 75.5% year-over-year. This solid yearly increase is supported by strong quarterly movement, with recent year-over-year EPS increase rates of 100%, 66.7%, 84.6%, and 60% across the last four quarters.
- Positive Estimate Revisions: Analyst belief is increasing, a main part of momentum investing. The average estimate for next year's EPS has been adjusted higher by almost 10% in the last three months, showing that experts see ongoing strength coming.
- Consistent Earnings Surprises: The company has exceeded EPS estimates in every one of the last four quarters, with an average surprise of 9.5%. This steady capacity to beat forecasts builds trust and can lead to more positive movement.
- Strong Cash Flow Generation: Free cash flow per share has risen over 200% in the last year, proving the highly cash-producing quality of the business model as metal prices and output from its collection of assets stay solid.
These items together add to the stock's High Growth Momentum Rating of 6. While not at the highest point of the range, this rating shows a very sound and quickening fundamental view, which is exactly what momentum investors aim to use before it is completely shown in the market price.
Technical Strength and Trend
A good fundamental story requires confirmation from price movement, and Triple Flag's technical condition is very good. According to the detailed technical report, the stock receives a complete Technical Rating of 10 out of 10.
- Clear Uptrend: Both the short-term and long-term trends are graded as positive, a main signal of continued buying pressure.
- Market Leadership: The stock is doing better than 95% of the wider market over the last year, a sign of real leadership. It is presently trading near its 52-week high.
- Strong Support Framework: The price is trading above all main moving averages (20, 50, 100, and 200-day), and these averages are all in a rising arrangement, forming a tiered support base below the present price.
This technical rating addresses the "which stock" question for a momentum investor: TFPM is in a forceful, confirmed uptrend and is a relative strength leader.
High-Quality Setup Pattern
The last part is timing. A stock can be fundamentally and technically sound but high in price, giving a bad entry. Triple Flag presently shows a "Setup Rating" of 9, signaling a high-grade consolidation pattern.
- Positive Consolidation: After a large rise, the stock has been trading in a set range over the last month, letting it absorb its increases and lower instability.
- Clear Risk Limits: The study finds a specific support area between $32.10 and $33.46. For a trader, this gives a sensible place to set a stop-loss order, clearly stating the trade's risk.
- Near Breakout Point: Resistance is seen just above the present price at $35.50. A clear move above this point could mark the restart of the main uptrend and give a possible entry point for momentum traders.
This setup directly answers the "when" question, noting that the stock is not in a steep spike but is instead gathering force inside its trend, preparing for a possible next move upward.
Conclusion
Triple Flag Precious Metals Corp. offers a positive example for a joined growth-and-technical screening method. The company shows the quickening earnings, positive revisions, and cash flow increase that high-growth momentum investors focus on. Importantly, this fundamental force is reflected in the technical charts, with the stock in a forceful leadership spot inside a clear long-term uptrend. Also, the present price movement indicates it is not too high but is instead forming a positive consolidation, giving a stated setup for those searching for an entry in line with the momentum.
Scans like this are made to find possible chances by using strict, multi-part filters. For investors wanting to examine other stocks that presently fit these conditions of good growth momentum joined with positive technical setups, you can see the newest results using this High Growth Momentum Breakout Setups scan.
Disclaimer: This article is for information only and is not investment advice, a suggestion, or an offer or request to buy or sell any securities. The study shown is based on given data and should not be the only ground for any investment choice. All investing has risk, including the chance of losing the original amount. Always do your own research and think about talking with a qualified financial advisor before making any investment choices.
